Top Ethereum Ecosystem Projects to Watch If ETH ETF Gets Approved

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The recent bullish momentum in BTC and ETH has reignited optimism across the cryptocurrency market. With growing speculation about SEC approval for an Ethereum ETF, attention is shifting toward high-potential projects within the ETH ecosystem—many of which could outperform ETH itself in growth. Here's a deep dive into the key sectors and tokens poised for significant movement.

1. Layer 2 Scaling Solutions

Core Projects: ARB, OP, STRK, METIS, MANTA

Layer 2 networks are critical to Ethereum's scalability, offering high throughput and low fees. This sector boasts the highest market cap within ETH's ecosystem, though many projects face criticism for low circulating supplies and high fully diluted valuations (FDVs).

2. Liquid Staking Derivatives (LSD)

Core Projects: LDO, SSV, PRL

LSD protocols emerged post-Ethereum's shift to PoS, offering staking services:

3. DeFi Blue Chips & Innovators

Core Projects: UNI, AAVE, COMP, CRV, MKR, Pendle

DeFi remains a cornerstone of Ethereum, with established players and niche innovations:

4. ETH-Backed Stablecoins

Core Projects: ENA, LBR

These leverage staked ETH to generate yield-backed stablecoins:

5. Restaking (The Dark Horse)

Core Projects: ETHFI, REZ

Why Restaking?

  1. Novelty: Capital favors new narratives.
  2. Low流通市值: ETHFI ($460M), Renzo ($150M).
  3. Eigenlayer Catalyst: Pending token listings post-airdrop distribution.

FAQ Section

Q: Which L2 has the most upside potential?
A: MANTA (modular) and STRK (ZK-tech) are high-risk/reward plays due to low流通市值.

Q: Is LSD still profitable post-merge?
A: Yes, but focus on SSV for decentralized infra over LDO’s saturated market.

Q: How does Pendle’s yield mechanism work?
A: It splits tokens into principal/interest components, tradable separately.

👉 Explore Ethereum’s top DeFi gems
👉 Why Restaking could be 2024’s breakout sector